TRAN Committee Report

Clause 9

That Bill S-2, in Clause 9, be amended by replacing lines 11 to 26 on page 5 with the following:

“10.51 A company that is subject to an order made under section 10.5 may correct a defect or non-compliance by doing one of the following:

(a) repairing the vehicle or equipment, including by adding to, removing anything from or modifying the vehicle or equipment, as the circumstances require;

(b) replacing the vehicle or equipment with a reasonable equivalent;

(c) reimbursing

(i) the reasonable cost of repairs to the vehicle or equipment that have already been undertaken before a notice of defect or non-compliance has been given, or

(ii) the sale price of the vehicle or equipment, less reasonable depreciation in the case where the vehicle or equipment has been sold to the first retail purchaser, on return of the vehicle or equipment.”

That Bill S-2, in Clause 9, be amended by replacing line 27 on page 5 to line 17 on page 6 with the following:

“10.52 For greater certainty, any person, including an automobile dealer, may benefit from any measure referred to in section 10.51 and any payment of costs under subsection 10.6(1).

10.53 For greater certainty, nothing prevents a company that is subject to an order under subsection 10.1(7) or 10.4(4), section 10.5 or subsection 10.6(1) from entering into an agreement with any person, including an automobile dealer, in respect of any matter related to the order — including, in the case of a vehicle or equipment that has not been sold to the first retail purchaser, in respect of the reimbursement of reasonable costs incurred — in addition to complying with any terms and conditions specified in the order.

10.54 For greater certainty, a correction to a vehicle or equipment in accordance with section 10.51 does not affect the right of any person, including an automobile dealer, to exercise any other right or remedy available at law, including a right or remedy to recover reasonable costs incurred as a result of an order under section 10.5.”